Clyde shipyard jobs secured as BAE Systems land £127m contract to help design new frigate for Royal Navy

ENGINEERING jobs on the Clyde received a major boost today as a new contract to develop the next generation of warships was unveiled.

ENGINEERING jobs on the Clyde received a major boost today as a new contract to develop the next generation of warships was unveiled.

The Ministry of Defence has signed a £127million four-year contract to help design the Type 26 ships, BAE Systems said today.

The company, which owns shipyards in Glasgow on the River Clyde, described the contract as "key to engineering jobs".

Bristol will be the main base for the project team but engineers on the Clyde will also be involved. The Type 26 ships will replace the Type 22 and Type 23 frigates. The shipbuilding contract for the Type 26 boats will be announced at a later date.

News of the deal was announced during a visit by Secretary of State for Scotland Jim Murphy to the Govan yard with John Robertson, MP for Glasgow North West, and Ian Davidson, MP for Glasgow South West.

The minister confirmed that the MoD signed the contract to take the project into the assessment phase.

Mr Robertson said the move "shows a Labour government's commitment to long-term planning for defence, retaining capability and skills and protecting Scottish jobs".

Alan Johnston, managing director of BAE Systems Surface Ships, said: "This is an exciting step in a programme that is hugely important not only for the Royal Navy but for the whole of the UK maritime industry.

"Type 26 is a key component in sustaining a surface warship capability in UK industry as agreed under the Terms of Business Agreement we signed with the MoD last year.

"Working in close partnership with the MoD and industry will help to reduce risk and deliver better value for UK taxpayers. It represents a real step change in procurement for defence."

An 80-strong joint MoD and BAE Systems team is based in Bristol. This team will increase to more than 300 people during the next four years of the contract.

First Sea Lord Admiral Sir Mark Stanhope said: "These programme announcements are welcome news for the Navy. You simply cannot have an effective Navy without capable Frigates, and the Type 26 combat ship will form the future backbone of the Royal Navy's surface combatant force, alongside the new Type 45 Destroyers.

"These ships will be highly versatile, able to operate across the full spectrum of operations, from war fighting to disaster relief."

The first of the new Type 26 class ships are due to enter service around the start of 2020.